Production management is an effective tool of enterprise management

Controls can be assigned to concepts that are familiar to most since childhood. In the last century life science, the study of which is aimed at General management principles irrespective of the place of management and relationship to objects of study. This research area received the name "Cybernetics". A significant contribution to its development made by the American scientist Norbert Wiener, called by some ‘father of Cybernetics”.

The enterprise management System

Production management – this is a part of Cybernetics, which explores and examines the management processes at the microeconomic level. As in any scientific field, there are subjects and objects of management. As subjects are the leaders of the company and various authorities. Objects are themselves entities, employees or labor groups, natural resources, and information and technical and scientific potential.

Definition

Production management – it is a system of control actions, presented in the form of laws, plans, ordinances, programs, regulations, decrees, instructions, and financial leverage. Important center link in the direction of the management activities is the enterprise that produces goods in the course of their core activities. And this is the main objective of its functioning.

Production management – is a tool to manage the production process regardless of the type of finished product (whether goods, services, information or knowledge). To create any economic product you have to use different resources in the form of labor, equipment, raw materials, information and cash. That is why only report on production management shows the efficiency of their use, as well as the performance of management employees and technological capacity. Thus, all of the above is the subject of the concept.

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In Other words, production management – it is a system of methods and forms of management of the economic entity, aimed at obtaining optimal results in its commercial, financial and industrial activities. Each entity has its own management technology. However, there is a certain logic of interaction of certain functions, which is caused by a logically constructed sequence of the whole process of management.

Organizational structure

Production management is based on four stages of its realization. The first stage – formed for the establishment and operation of the facility, define some quantitative characteristics. The second stage is responsible for organizing the necessary conditions for the operation of the facility. The third stage involves maintenance of records and control the state of the object from the position of receiving such results will allow to assess the level of achievement of goals. In the fourth stage, regulated by the deviations that occur in the process of implementing such goals are some of the incentives expressed in encouraging employees to improve their performance.